Daley Drops Lawsuit Over Airport Pact With Gary

The Daley administration on Monday withdrew its lawsuit seeking federal court endorsement of the Chicago-Gary Regional Airport Authority that angered Republicans when it was announced by the mayors of the two cities in April.

Corporation Counsel Susan Sher said the city dropped its quest for a declaratory judgment because there was no longer an "imminent threat" from the General Assembly, which adjourned without taking any action against the bicity authority.

Rebutting a GOP claim that the city acted because it knew the compact would be declared illegal, Sher said the move came because legislators dropped their threat to create their own version of an airport authority.

"If the issue comes up again, we will deal with it then. . . ." said Sher of possible GOP action in the fall veto session of the General Assembly. "If this compact is . . . viewed by a court, we are confident that it will be found valid. We are as confident as we were in the beginning."

Daley said it was a rash of threats by Republicans in Springfield about using their new legislative dominance to give the suburbs control of O'Hare International Airport that prompted his airport alliance with Gary.

The 12-member authority-composed of five appointees each by Mayor Richard Daley, Gary Mayor Thomas Barnes and one each by the governors of Illinois and Indiana-has held two public meetings but taken no definitive action.

Putting the GOP spin on Monday's action by the city, Atty. Gen. Jim Ryan said he was "pleased," adding he believes the move was a direct result of a previous state motion to dismiss the lawsuit.

Chicago's airport pact with Gary includes a provision giving the northwest Indiana city more than $1 million a year in passenger facility charges collected at Chicago airports.

Republicans opposed to the airport agreement in general and the transfer of head-tax dollars in particular, said they are considering their own lawsuit to have the courts formally declare the pact invalid.

James Montana, Edgar's legal counsel, said that while the Chicago-Gary agreement now stands, it has "no effect" on possible attempts by Republican lawmakers in the fall to create a GOP-run airport authority.

"If the legislature wants to come back in November and regulate the airports, it can do so," Montana said. "The city filed the suit and then backed off, realizing it would have lost. The court would have said the pact is illegal."

Montana said the administration is "reviewing whether any other action on our part is needed."

But Mike Cys, an aide to Republican House Speaker Lee Daniels of Elmhurst, said GOP lawmakers want the city's pact with Gary voided.